EXHIBIT 11
CAPSTEAD MORTGAGE CORPORATION
COMPUTATION OF NET INCOME PER SHARE
(in thousands, except per share amounts)
Quarter Ended Six Months Ended
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1995 1994 1995 1994
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Primary:
Average number of common
shares outstanding 15,322 15,238 15,313 15,220
Incremental shares calculated
using the Treasury Stock method 4 9 4 46
------- ------- -------- --------
15,326 15,247 15,317 15,266
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Net income $17,739 $20,030 $ 33,105 $ 43,499
Less cash dividends paid on
convertible preferred stock:
Series A ($0.40 per share) (239) (266) (487) (538)
Series B ($0.315 per share) (9,584) (9,440) (19,134) (18,848)
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Net income available to common
stockholders $ 7,916 $10,324 $ 13,484 $ 24,113
======= ======= ======== ========
Primary net income per share $0.52 $0.68 $0.88 $1.58
Fully diluted:
Average number of common
shares outstanding 15,322 15,238 15,313 15,220
Assumed conversion of
convertible preferred stock:
Series A 548 606 554 619
Series B * * * *
Incremental shares calculated
using the Treasury Stock method 5 9 4 45
------- ------- -------- --------
15,875 15,853 15,871 15,884
======= ======= ======== ========
Net income $17,739 $20,030 $ 33,105 $ 43,499
Less cash dividends paid on
the Series B Preferred Stock (9,584) (9,440) (19,134) (18,848)
------- ------- -------- --------
Net income $ 8,155 $10,590 $ 13,971 $ 24,651
======= ======= ======== ========
Fully diluted net income per share $0.51 $0.67 $0.88 $1.55
* The Series B Preferred Stock is not considered convertible for purposes of
calculating fully diluted net income per share as it is currently
antidilutive.